Cosco investment hits snag due to infrastructure lack

The multi-billion dollar investment of China Ocean Shipping Co. (Cosco) has hit a snag because there are still no infrastructure in place in their preferred location.

“The first choice of Cosco is Sangley Point but there are many problems because there are no access roads,” Ambassador Francis Chua, special envoy on China trade and investments said in an interview.

Aside from access roads, Chua said the land needs to be reclaimed. This he estimated would take at least five years. “The Chinese would like to invest soon and they have to wait for a long time for Sangley Point to be ready,” Chua explained.

Sangley Point is the headquarters of the Philippine Navy in Cavite.

The Navy said they are looking at moving to the San Miguel Naval Station in Zambales should Sangley Point in Cavite be reclaimed. However, the Zambales base needs a lot of developing.

The study to relocate the 140-hectare naval station in Sangley Point is being conducted by the Navy’s Plans and Programs Committee.

The study started June 21, the same time President Arroyo signed Executive Order (EO) 629 that orders the conversion of Sangley.

Under EO 629, the Philippine Reclamation Authority was ordered by the Malacañang to convert Sangley Point into an international logistics hub with modern seaport and airport through an enabling reclamation component.